Top 9 Fastest-Growing Industries That Will Shape India in 2026

The “chalta hai” mindset of a business owner won’t work in 2026. 

India’s economy grows at 7.4%, but the market has split – digital, export-ready companies expand, while traditional cash-based businesses shrink. 

This isn’t a downturn, it’s a shift. 

The “China Plus One” move and PLI plans are happening, but they benefit formal businesses. 

This blog explains the fastest-growing industries shaping today’s changes and helps you move from just surviving to growing smarter.

Let’s start…

Top 9 Fastest-Growing Industries In 2026

We’ve cracked the code on PLI allocations and Capex trends to show you the top 9 fastest-growing industries. 

This isn’t your run-of-the-mill advice. It’s where the big bucks are hiding in the fastest-growing industries in India.

1. Renewable Energy – 

Skip making solar cells, that’s for the big players. 

The real cash for MSMEs lies in the support system, which is set to boom in the fastest-growing industries over the next 5 years.

• The Golden Ticket – 

Solar mounting structures. 

Each MW requires 40-50 tons of steel. Zero in on tracker systems that follow the sun. They’re more profitable than regular fabrication.

• Green Hydrogen – 

Don’t just sit back, start making “Type 4” composite cylinders or high-pressure storage tanks.

• Action – 

Change your manufacturing unit to help reach the 500 GW national goal.

2. Electronics (ESDM) – 

Big brands need local suppliers. 

The “housing” of electronics gives you a way into the fastest-growing industries.

• Plastic to Profits – 

If you own injection moulding units, switch to high-grade engineering plastics for router casings and remotes.

• The Niche – 

Cable harnesses and USB connectors. We import a lot of these high-volume parts.

• Tip – 

Make “platform-agnostic” parts (like standard connectors) to lower the risk of becoming outdated when models change in the fastest-growing industries in India.

3. Electric Vehicles (EV) – 

Engines with pistons are on their way out. 

The next big thing in the fastest-growing industries in 2030 is solving “Range Anxiety.”

• The Change – 

Electric vehicles need to be lightweight. Replace heavy steel with aluminium die-casting or carbon-fibre composites.

• Battery Packs – 

While you can’t produce cells, you can put together battery packs for electric rickshaws, adding the Battery Management System and heat control.

• Business Plan – 

Start operating charging points for apartment complexes. This creates ongoing income in one of the fastest-growing industries.

4. Speciality Chemicals – 

This field is expanding by 11-12% yearly, securing its spot in the top 10 fastest-growing industries. 

Why? 

The world wants another option besides China for “Intermediates”, the components that make the final chemical work.

• High Value – 

Put your focus on agrochemical intermediates or active ingredients like Niacinamide to serve the growing D2C skincare market.

• The Key – 

Tough pollution rules (Zero Liquid Discharge) can work in your favour. They push out unorganised competitors, creating space for MSMEs that follow the rules.

5. Food Processing – 

The PLI for Millet-Based Products has made “Shree Anna” a worldwide brand and a leader among the fastest-growing industries.

• Value Add – 

Don’t just sell raw grain. Turn it into gluten-free pasta or breakfast muesli.

• Cold Chain – 

There’s a huge market abroad for frozen parathas and curries in the “Ready-to-Eat” (RTE) sector.

• Action – 

Apply the “One District One Product” (ODOP) program to get marketing help.

6. Technical Textiles – 

Textiles are shifting from style to purpose, joining the ranks of the fastest-growing industries.

• Agro-Tech – 

Make UV-resistant shade nets and crop covers. Unpredictable weather ensures demand.

• Geo-Tech – 

Highway projects need fabrics to stabilise soil. This field relies on government contracts.

• Upgrade – 

Join integrated textile parks to use testing labs and special air-jet looms.

7. Defence Manufacturing – 

The Defence Ministry has “Positive Indigenization Lists”, items they must buy from Indian makers. 

This government backing makes it one of the fastest-growing industries in India.

• The List – 

Specific fasteners, electrical cables, and logistics gear are set aside for MSMEs.

• Aerospace – 

Obtain AS9100 certification. This qualifies you for “Offset” agreements, where foreign sellers must buy 30% from India.

• Keep an eye on – 

The “Drone Shakti” project for farm spraying drones.

8. Fintech & ONDC – 

The credit gap stands at ₹25 lakh crore. 

You can help close it by joining one of the fastest-growing industries over the next 5 years.

• LSP Model – 

Work as a Loan Service Provider, starting loans for large NBFCs in your local market.

• Wealth-Tech – 

Sell mutual funds and insurance in smaller cities.

• ONDC – 

Use the Open Network for Digital Commerce not just to sell, but to get “sachet” insurance and working capital based on your cash flow, not collateral.

9. Spiritual Tourism – 

Pilgrimages don’t suffer during economic downturns, but pilgrims now want more, making this one of the fastest-growing industries by 2030.

• Homestays – 

Turn old buildings near routes like Kashi or Ayodhya into fancy places to stay.

• Souvenirs – 

Quit selling stuff from China. Make top-notch “GI-tagged” statues and scented items.

• Wellness – 

Build certified Ayurveda places to draw in Medical Value Travelers.

Conclusion

The chances in 2026 favour organised businesses in the fastest-growing industries. 

Don’t try to compete on basic goods. 

Succeed with specific parts like solar trackers or EV connectors. Use the ₹10 Crore Collateral-Free CGTMSE loan to upgrade your equipment. 

Now’s the time to stop getting by and start running the show in the fastest-growing industries.

Do you want to scale your business with these trends? Check out our latest blogs on MSME Growth Strategies today.

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